Guaranteed Energy Savings Project (GESP) 1 I N F O R M A T I O N A - PowerPoint PPT Presentation

Guaranteed Energy Savings Project (GESP) 1 I N F O R M A T I O N A L P R E S E N T A T I O N S C O T T T E S S – E N V I R O N M E N T A L S U S T A I N A B I L I T Y M A N A G E R

Purpose 2  GESP is a facilities improvement mechanism  To perform critical deferred maintenance  To avoid emergency repairs and replacement  To improve public and staff safety and work environment  To reduce utility bill expenditures  Addresses the City Council and Mayor Goal 6.2

Benefits of GESP 3  Turnkey, Design-Build service  Audit + engineering + construction + commissioning + O&M + long-term savings measurement  Reduce energy consumption and attendant pollution  Reduce utility bill expenditures  Improve building occupant comfort  Improve lighting quality  Redeploy staff to other deferred maintenance  Use utility bill and maintenance savings to help pay project loan

Guaranteed Energy Savings Project Process 4  Procedure outlined in State statute  50 ILCS 515/1  Qualifications based selection  Important elements of procedure  Energy Services Company (ESCO) guarantees energy savings with limitations  Project savings must pay for the project within 20 years

Assistance 5  IL Department of Commerce and Economic Opportunity  Technical Assistance from Energy Performance Contracting Program  Discontinued by Ameren  Engineering/Architectural Services  Review of contract required by statute  Urbana will use 3 rd party engineering firm

Selected Vendor 6  Control Technology Solutions (CTS)  Privately held company dedicated to performance based design/build contracting  Completed almost 400 buildings in IL and MO since 2000  National Association of Energy Services Companies Certified  Direct owner involvement  Local dedicated project management  In house mechanical, building automation, and security design engineering  Non-proprietary solutions and vendor neutral  Extended service, maintenance and training support

Typical GESP Projects 7  Heating, Ventilation, and Air Conditioning (HVAC)  HVAC Controls and Automation  Interior Lighting  Street Lighting

Measurement and Verification (M&V) 8  Includes  Report utilizing the International Performance Measurement and Verification Protocol (IPMVP)  Overview of Facility Improvement Measures (FIM’s)  Utility Analysis  Savings Graphs

Guarantee 9  Some savings are by formula  Street Lighting  Maintenance  Energy Savings  HVAC  Maintenance  Interior Lighting  Maintenance  Other savings guaranteed by energy bill accounting  HVAC  Energy Savings  Interior Lighting  Energy Savings  Maintenance Savings  Not including any internal labor savings  Maintenance savings includes avoided material costs and avoided vendor service calls

Guarantee 10  If guaranteed savings aren’t met  Vendor pays city for the shortfall  Most cities conduct M&V for the guarantee for 1 or 2 years.

Summary 11  A single bundle of energy/money saving improvements  Bidding and vendor selection stipulated by statute  Paid for with loan  Utility bill savings and maintenance savings pay for loan

Status 12  Collect City Facilities Data January 2017  Draft RFP February 2017  Presentation to Council March 2017  Publish RFP March 2017  Vendor Facility Tour April 2017  Public Bid Opening June 2017  Vendor Interviews July 2017  Vendor Selection/Negotiation August 2017  Investment Grade Audit Presently 2017  Financing January 2018  Public Meeting to Award Contract February 2018  Construction March 2018

Status 13  Investment Grade Audit  Finalizing the scope and cash flow analysis presently  Financing  Need to determine options available to the City  Public Meeting to Award Contract  Time is of the essence for cooling season projects needed before this summer  Construction

Draft Scope – Library 14  Possible Improvements  Interior Lighting Upgrades  Exterior Lighting Upgrades  Air Handling Units Upgrades  Chiller Upgrade  Electrical Panel Upgrade  Building Sealing  Window Upgrades

Draft Scope Relative to All Deferred Maintenance 15  Project scope represents only a portion of expected future facility capital expenses

Scope and Financing 16  Scope and financing are dependent on each other  20 year payback period and loan is legal max  To accomplish the scope shown, a 20 year loan is necessary  A shorter loan period will reduce the project scope

Tonight 17  No Board action necessary  Staff would like to answer questions regarding the prospective project  Staff would like the Library to be in a position to approve a GESP in January or February